Assa Abloy acquired Paddock Holdings, a UK manufacturer of multipoint locks. The plan is conditional on receipt of merger clearance from the UK Office of Fair Trading (OFT).
Paddock is the UK's largest manufacturer of multipoint locks. The company has a turnover approaching US$43 million and employs 250 people, operating from a modern 90,000 square feet production center.
The company has two core brands including Lockmaster and Millenco, and its range includes multipoint door, patio door and window locks; door cylinders; and hinges, handles, letter plates and other accessories.
"This acquisition is part of our strategy to build upon our presence in the UK market by adding complementary lock products to our current portfolio. The UK is one of our most important markets in Europe and strategic to our continued growth," said Johan Molin, President and CEO of Assa Abloy.
"Paddock is a great addition to Assa Abloy UK and to the EMEA business as a whole. This is an important acquisition, which reinforces our position in the fast growing multipoint lock segment. Paddock has innovative products, impressive market presence and a very experienced team. The addition of Paddock's product portfolio will contribute significantly to our future growth," said Tzachi Wiesenfeld, Executive VP of Assa Abloy and Head of EMEA Division.
Paddock CEO, Nigel Hutchinson, said, "These are exciting times for Paddock. With Assa Abloy's backing and investment, we will be able to deliver a broader and more varied range of products to our market place, as well as utilizing Assa Abloy's channels all over the world for export growth. Assa Abloy is the market leader in door solutions, so this is a natural fit for both businesses."
"The acquisition is also great news for our customers," Hutchinson said. "Our current partners in the market will benefit from further investment, an enhanced service offering and most importantly, further support in delivering innovative new products. The plan for us is to continue the great work of the past few years and support and further develop our existing routes to market."
"Paddock's distributor focused ‘route to market' is complementary to Assa Abloy's more direct approach," Hutchinson said. "Building on both these channels to market is crucial to our future success."
The Paddock product range and sales team will also act as a base for generating sales of the new Yale Keyfree digital door lock, which works in conjunction with multipoint locking systems on new residential doors.
As part of the Assa Abloy Group, Yale can also support and develop Paddock's growth and new product launches into international markets.